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Texas

Compare Texas Electricity Rates & Energy Prices

Written by Faith Foushee

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Edited by Jamie Cesanek

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Last Updated: July 17, 2024

Explore today's low rates and compare energy plans.

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July 2024 key insights

  • As of July 2024, the average electricity rate in Texas is 15.02 cents per kilowatt-hour (kWh).
  • The current lowest Texas electricity rate is 11.3 cents/kWh.
  • Use the Choose Energy marketplace to easily select the best Texas energy plans and rates in your area.

 

Lowest electricity rates in Texas today

Use the following table to compare electricity rates in Texas by energy provider and plan lengths to find the best plan for your needs. 

Plan NamePlan LengthRate*
4Change Energy - Maxx Saver Select 1212 months$0.116/ kWh
Gexa Energy - Gexa Eco Saver Plus 1212 months$0.116/ kWh
Express Energy - Flash 1212 months$0.116/ kWh
Frontier Utilities - Frontier Saver Plus 1212 months$0.116/ kWh
Discount Power - Bill Credit Bundle 2424 months$0.119/ kWh
Cirro - Simple Bill Credit 2424 months$0.119/ kWh
Veteran Energy - Valor 2424 months$0.145/ kWh
Reliant - Power Savings 24 plan24 months$0.155/ kWh
TriEagle Energy - Real Deal 3636 months$0.159/ kWh
Rhythm Energy - Clear Choice 1212 months$0.160/ kWh
TXU Energy - Smart Edge 1212 months$0.165/ kWh
Direct Energy - Live Brighter Lite 2424 months$0.165/ kWh
BKV Energy - Lantana 3636 months$0.171/ kWh
Green Mountain - Pollution Free e-Plus 24 Preferred24 months$0.178/ kWh
Payless Power - 12 Month - prepaid12 months$0.188/ kWh

Please note: All rates above are accurate as of 7/17/2024, 3:43:17 PM CDT for utility Oncor. Rates may have changed since this date/time. For the most up to date rates in your area, please enter your zip code above.

*All pricing shown in cents per kWh

Average Texas electricity rates in July 2024

The average Texas energy rate is 15.02 cents per kilowatt-hour (kWh), according to the most recent data from the Energy Information Administration (EIA). The Texas energy price is about 11% lower than the national average of 16.88 cents per kWh.

The Energy Reliability Council of Texas (ERCOT) predicts that the grid will have sufficient capacity to meet demand in late summer. With hot temperatures increasing demand, now may be a good time to find a more affordable electricity plan using the Choose Energy marketplace. Enter your ZIP code to search for the best cheap energy company for your home or business. We can help you compare Texas electricity rates, energy plans, and providers in your area.

What is considered cheap electricity in Texas? 

The lowest Texas electricity rate on the Choose Energy marketplace is 11.9 cents per kWh for the 1,000 kWh standard monthly usage. At the time of writing, Discount Power offers the cheapest fixed-rate energy plan on the Choose Energy marketplace. Providers like Express Energy, 4Change Energy, Gexa Energy, and Frontier Utilities also often have some of the cheapest options available. 

Types of energy plans in Texas

You can find various types of energy plans on the Choose Energy marketplace. Learn more to help you determine the right Texas energy plan for your needs. 

  • Fixed-rate plans: Get a consistent rate on your monthly energy bill with a fixed-rate plan. These plans are perfect if you want a predictable bill to avoid unexpected energy cost spikes. 
  • Variable-rate plans: These plans offer flexibility without a long-term contract, but your rate will change based on market conditions. While you may save during low demand, you will experience increased rates during high demand. 
  • Prepaid and no-deposit plans: You might need to pay a deposit if you don’t meet a provider’s credit requirements. Our marketplace offers no-deposit electricity plans like prepaid energy plans that allow you to skip the deposit and pay for your electricity upfront.
  • Renewable energy plans: All Texas energy plans include a percentage of renewable energy. Some providers specialize in only offering 100% green energy plans, including Gexa Energy
  • Commercial energy plans: Texas businesses can benefit from low rates, competitive plans, and green energy options. Call the number on your screen to receive a custom business electricity quote tailored to your company. 

Compare Texas electric companies

In Texas, you have several energy provider options. Consider your priorities and preferences to choose the best provider for your energy needs. For example, if you want a 100% green energy plan, choose a provider such as Gexa Energy or Green Mountain Energy. If you want the cheapest Texas electricity plan, consider Frontier Utilities. The following table lists various energy companies in Texas, the lowest rates, and what it’s best for. 

ProviderLowest available rate      Best for…
4Change logo$0.113/ kWhCommunity involvement
Cirro energy logo$0.116 / kWhElectrical protection plans
Constellation logo$0.150 / kWhLow early termination fees
Direct energy logo$0.159 / kWhA variety of term lengths and perks
Discount power logo$0.116 / kWhVariety of plan types
Express Energy logo$0.113 / kWhDeferred payment plans
frontier logo$0.113 / kWhVariety of competitively priced plans
gexa logo$0.113  / kWhGreen energy plans
Green Mountain logo$0.172 / kWh100% renewable energy
$0.185 / kWhPrepaid electricity plans
reliant logo$0.149 / kWhMoving assistance
$0.158 / kWhCustomer-centric approach
trieagle logo$0.159 / kWhEnergy monitoring and bill credit reward programs
TXU logo$0.165 / kWhOverall experience

Energy suppliers

In deregulated states, utility companies and electric providers have different roles. Residents have the power to choose their Texas electricity provider, who is responsible for selling electricity to consumers. With deregulation in Texas, there’s more competition among energy providers. You can choose from various providers to save money on your energy bills at a lower rate. 

Utility providers

The utility company is responsible for transmitting electricity, maintaining electrical infrastructure, and restoring power during an outage. Your address determines your utility, and you cannot change it. Here are the main utility companies serving residents and businesses across the Lone Star State:

Texas Price to Compare

The Price to Compare (PTC) in Texas is your utility company’s default rate if you do not sign up for a specific energy plan from an independent provider. You can save money by choosing your own plan since utilities often charge more expensive rates. 

Average Texas electricity rate Lowest Choose Energy rate
15.02 cents/kWh 11.3 cents/kWh

Average 2024 electric bill in Texas

In Texas, the average monthly electricity bill for residential customers is $176.94/month. The total is calculated by multiplying the average electric usage of 1,178 kWh by the average electric rate (15.02 cents/kWh). The average monthly bill in Texas is about 17% higher than the national average bill of $151.75/month.

Understanding deregulation in Texas

About 85% of Texas has a deregulated energy market, giving residents and businesses the power to choose their electricity provider. With deregulation, energy suppliers compete to offer you the best electricity rate and customer service. As a result, you can save money on your energy bills and find an energy plan in Texas that fits your electricity usage. The term “power to choose” is common in deregulated markets. It is also the name of the official website of the Public Utility Commission of Texas (PUCT), the regulatory body overseeing the Texas electricity market. 

Choose Energy is not affiliated with Power to Choose, powertochoose.org, or the PUCT.

PowerToChoose.org allows customers to browse available providers and plans in their area. However, consumers are redirected away from the site when they attempt to sign up for a plan. 

Choose Energy is different: Our easy-to-use online marketplace displays electric rates, plans, and providers in your area — all in one place. We list independent electricity provider ratings, term lengths, rate types, and more to make signing up for a new plan quick and easy. We also have useful buying guides and resources to help you understand the energy industry.

How to Find the right energy plan in Texas

Choose Energy can help you sign up or switch to a cheap light company near you. Compare and choose a plan that fits your needs in a few easy steps.

  • Enter your ZIP code. Compare plans and rates in your area on the free Choose Energy marketplace to find what works for you. Use the filters to find tailored results, like a specific rate type, term length, or amount of green energy.
  • Pick a plan. When you find one you like, sign up online in a few minutes. If you need help choosing, call the number on your screen for an agent.
  • Enjoy your new plan. Your Texas energy supplier will handle the set-up so you can relax without power interruption. 

Moving to Texas?

If you are moving to Texas, you can keep your current energy plan if your provider serves your new address. You can switch electricity providers if you want a new provider or if your current one does not service your new location. You will not pay an early termination fee if you move to an address your current provider does not cover.

Shop Texas energy plans on Choose Energy’s marketplace up to 90 days before moving, and select your move-in date when you sign up. Your provider will handle the rest. Most Texas homes have smart meters, meaning you will not need to schedule a technician visit to begin electricity service. Instead, your new provider will activate your service remotely on your selected date.

Texas Electricity Rates FAQ

Are Texas electricity rates going up?

Texas energy prices typically increase in the summer and decrease as temperatures decline in the cooler months. According to the latest EIA energy outlook, oil prices are expected to rise due to lower oil production, leading to higher electricity rates in Texas. Electricity prices fluctuate daily based on market prices. You can use the Choose Energy marketplace to explore the lowest energy rates in Texas at any time of the year.

Why does Choose Energy run a credit check?

Our partners require a soft credit check (which doesn’t affect your score) to determine if your credit meets their requirements. The provider may ask for a deposit to begin service if your credit score falls below that threshold. We’ll check your score with all providers on our marketplace at once so you can find the best electricity rates in Texas. Check out our no-deposit guide for more information about the credit check process. 

How do I find cheap electricity plans in Texas?

The lowest electricity rate in Texas on our marketplace is 11.3 cents/kWh from Gexa Energy. Providers like Express Energy, 4Change Energy, and Direct Energy also frequently offer some of the cheapest electricity rates in Texas. Energy rates fluctuate, but Choose Energy can help you find the best cheap energy company any time of year. Enter your ZIP code to compare rates and electricity plans all in one place.

How quickly can I set up electricity service in Texas?

If you are signing up for a new plan and have a smart meter installed at your home (most Texans do), you might start service the same day you sign up. Some providers have the option for same-day electricity if you order before 3 p.m. CST. Switching electricity providers could take up to five business days.

What should I do if my power goes out?

Your local utility company handles restoring power during a power outage. If you lose power, contact your utility, not your provider. To learn more about your utility company and how to contact them, visit our complete list of utility companies.

Where does Texas electricity come from?

Most of Texas’ electricity comes from natural gas. Nuclear, solar, and wind energy also contribute heavily to the state’s energy mix. As Texas continues to invest in different power sources, electricity rates could decrease as capacity grows.

How can I lower my electricity bill in Texas?

One way to lower your monthly electricity bill in Texas is to switch electricity plans with a lower rate. Securing low rates is often easier during seasons when demand is lower, such as spring and fall. Rates can change daily, so check the Choose Energy marketplace today to find out which company has the best electricity price for your usage. You can also lower your energy bill by using less electricity each month.

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